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What is the goal of Asset-Liability Management?
The goal of Asset Liability Management is to match the duration of assets with the duration of liabilities so that there is no imbalance in the maturity of the portfolio. Suppose if the duration of liabilities is less and assets is more, it might lead to the maturity of liabilities earlier and hence because of lack of assets, we wouldn't be able to finance those liabilities. Similarly, depending on the business model, the maturities have to be balanced